Due to changes to the rules on pensions, the Financial Conduct Authority (FCA) and The Pensions Regulator (TPR) are trying to raise awareness of pension scams. Research now shows victims losing an average of £91,000 each last year.
The FCA and TPR have launched advertising campaigns targeting pension holders aged 45-65 as a YouGov poll found that 32% of this group would not know how to check whether they are speaking with a legitimate pensions adviser or provider.
One of the most common scams is to offer a ‘free pension review’. 12% of 45 to 65-year-olds surveyed said they would trust an offer of a ‘free pension review’ but It is thought that only a minority of pension scams are reported. The FCA and TPR are therefore asking the public to be vigilant and report these scammers
Pension scams cause serious financial and mental harm –If you are ever in doubt about a pension offer, visit the ScamSmart website.
The FCA and TPR are appealing to people to check who are they are dealing with and to be very wary of cold callers.
The advertising campaign shows the comparison between victims of pension scams and the lifestyles relished by the criminals behind the scams. Using TV, radio and social media adverts, it urges anyone who is contacted about their pension to visit ScamSmart before they do anything.
The government also intends to lay regulations to ban pension cold calling in the autumn.